NaCCRA supports retention of the CCRC prepaid
medical deduction as a tax provision of particular interest and
value to some CCRC residents.To qualify for the benefit from the deduction, CCRC residents
have to:

1.Live in a CCRC which includes medical
costs within the entrance and recurrent fees, i.e. they don’t charge
for healthcare on a fee for service basis;

2.File a long form, full 1040, tax
return;

3.Itemize your deductions, i.e. not
claim the standard deduction; and

4.Beginning with 2017 have medical
expenses, including the prepaid CCRC medical expenses exceeding 10%
of your gross income (for 2016, those 65 and older can deduct the
excess over 7.5% of gross income.

The Trump proposals would also eliminate the
Federal Estate Tax, which could simplify estate planning for many
NaCCRA members.

Once the proposals are under serious
consideration in the Congress, the Congressional Liaison Committee
will be looking closely at the proposals and how the net of all the
tradeoffs are likely to impact our members.